Savanna Beef suspends cattle slaughter amid Foot-and-Mouth disease outbreak
The disruption comes months after Savanna Beef secured EU export access, putting pressure on a loss-making processor still ramping up production and dependent on international markets.
NAMIBIA – Savanna Beef has suspended cattle deliveries and bookings after Namibian authorities ordered an immediate halt to slaughter following a foot-and-mouth disease (FMD) outbreak in a geographically defined zone.
The disruption comes as the processor ramps up its N$436.5 million (US$26.21M) facility and expands access to export markets. The company remained loss-making, leaving financing obligations in place while revenue is disrupted.
For the year ended February 28, 2026, Savanna incurred N$28.1 million (US$1.69M) in finance costs on its Industrial Development Corporation and Energy Utilities financing, of which N$13.1 million (US$787.4K) was capitalised.
Between August 2025 and July 2026, the facility processed 12,603 cattle and paid producers N$267.95 million (US$16.11M). Savanna secured European Union export authorisation on April 7, with its first frozen beef shipment departing for Rotterdam on April 24. Nine more containers followed in May.
Daily boning output increased from 33 tonnes in May to about 55 tonnes in July. However, management told shareholders in August that Savanna still expected to report a loss in the 2026-27 financial year, although losses during the ramp-up period were below budget.
For the year ended February 28, Savanna reported a net loss of N$25.9 million (US$1.56M), a loss before tax of N$42.1 million (US$2.53M) and an operating loss of N$30.9 million (US$1.86M).
Namibian authorities suspended cattle slaughter after confirming the FMD outbreak on September 23. The government began partially easing movement and slaughter restrictions on September 27 after surveillance indicated the outbreak remained contained. As of September 26, all confirmed positive samples were within the Karasburg veterinary district.
The World Organisation for Animal Health suspended Namibia’s recognised FMD-free status for the affected zone on September 22, while the United Kingdom withdrew authorisation for fresh beef imports from the affected territory on September 25.
Savanna’s disruption comes after Namibia marketed 362,718 cattle in 2024, with 135,624 slaughtered at A-class abattoirs. The facility was intended to increase domestic processing and retain more value in Namibia’s beef value chain.
Romé Mostert, co-founder of Cirrus Capital, described the outbreak as a setback for the livestock industry.
“Today was a sobering day for Namibia’s livestock industry,” Mostert said. “The confirmation of foot-and-mouth disease in our FMD-free zone affects every link in the value chain: the farmers and producers, the abattoirs and processors, the workers and their families, and the rural communities that depend on them.”
Savanna’s ability to resume normal operations will depend on the duration of domestic restrictions and separate decisions by trading partners on export access.
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